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Calculate NPV Using Excel
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In this video, we will calculate the NPV Using Excel
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First, we need to enter the cash flows
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In this example, we are using annual flows.
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In year 0, we need to enter the initial investment, using a negative value.
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Next, enter the estimated future annual flows
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Now, enter the discount rate
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And finally, enter the NPV formula
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NPV(discount rate,range of future flows) - Initial Investment
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Thanks!